Russia's Central Bank

DAVOS, January 23. /TASS/. The interest rate cut by the Bank of Russia in the end of the first quarter 2015 may back Russia’s economy, VTB Group CEO Andrey Kostin said in an interview aired by the Rossiya 24 television news channel at the World Economic Forum in Davos, Switzerland on Friday.

“I think that the banking sector will cope with its tasks and back the real sector, especially in case the Central Bank has an opportunity to cut key interest rate, say from the end of the first quarter. It’s very propitious for providing a normal operation of the economy,” Kostin said.

VTB Group CEO also added that the steps taken by Russia’s financial authorities to recapitalize banks are reasonable.

“I think that the measures to recapitalize the banking sector are quite reasonable at this stage. I do not see any need in additional measures yet,” he said.